Understanding of Knowledge from Two Mutually Related Aspects

The challenges of the new millennium and specific properties of knowledge require a new understanding of knowledge. Author’s approach to knowledge is based on three mutually related aspects. From the aspect of substance, the author understands knowledge as a set of experiences where information, based on rational combination is classified into patterns of thought through cognitive processes. The subject (individual, organization) to whom the capacity of cognition is ascribed and in which knowledge is to a certain extent institutionalized may use and exchange knowledge, through the system of property rights, for other rights in the market. Characterizing knowledge as capital brings economic effects to its owners, as it is ascribed certain economic market value. From a subjective-market aspect knowledge is defined in the relation to the individual, organization and market.